tv FOX Business After the Bell FOX Business September 20, 2013 4:00pm-5:01pm EDT
flying high like this. [closing bell ringing] fireeye. soaring. and my country club is a great one toys, we have a down market. trading down into the weekend. we talked about quadruple-witching hour. talked about statements from fed guys maybe we will at next meeting in october begin to taper a little bit. a lot of factors affecting the markets. might have been end of the week an exhausting week. people not wanting to hold positions going into the weekend for whatever reason. the dow is worst performer of all the indexes you're looking at. down over a percentage point. s&p a little less. nasdaq, okay. look at russell 2000. small and mid-sized caps the least affected by all the turmoil in the market. here is a look at front page headlines beginning with latest comments by fed officials whether or not there will be tapering. kansas city fed president esther george who is the lone opponent of the decision earlier this week said refeigning from the taper has raised questions about the central bank's credibility.
>> another fed official, st. louis fed president james bullard, said it made sense not to lawn of the paper this month because of low inflation readings. he spoke with our own peter barnes of course. david: meanwhile want to talk about volatility, talk about apple. apple stock is fluctuating big-time as the iphone fans buy new hand-sets, 5ss, and cheaper 5cs. they went on sale today. >> caterpillar saying the worldwide sales weakened the past three months because of slowing demand for commodities from countries such as china. david: darden restaurant, parent of chains like olive garden, red lobster. it is getting crushed because of a dismal quarterly earnings report and forecast. >> house republicans led by speaker john boehner passed legislation to fund the government through december 15th. it include measures to derail obamacare. those measures make it means the
initiative will be killed by senate democrats. "after the bell" starts right now david: what a seesaw week. with number one thing that could move the market. and tim mulholland in the pits of the cme. estimate, start with you. i know we've been going every it every day this week but a $3.7 trillion balance. that is how much money, well the fed printed three trillion of that over the past five years. are traders at all concerned that the fed simply won't be able to unwiped? >> yeah, i mean it is warren buffett even said, much easier to buy than it is to sell especially at the end of the month. face it, at this pace they will buy 100% of all treasury
issuance. that is highly abnormal. right now no one is worried about inflation, look at gold, but that is something that would be the worst nightmare from the fed for the market to have to them them to start tapering their purchases and even start selling. so it's a big concern but not an immediate concern for the market but one in the minds of traders for sure. cheryl: edward, we look at a week that was very volatile. we had a big jump on wednesday, today, quadruple witch something a piece of that, also coming up is earnings season. are we getting to the part of the year where we get preannouncements from companies, are you worried about that? >> hi, cheryl, hi david. it is good to be back. i think a lost good news recently we've had, whether it is geopolitical or monetary policy is kind of being priced into the market and now as we look into next month, october, this is earnings season. these companies will need to deliver not only earnings growth
but top-line growth but that will be new focus for the market at least in the near term. david: i'm going to be glad frankly to take the focus off the fed. i'm dreaming about the federal reserve right now but, tim, one last shot, today is probably it for a while, bernanke admitted this week he miscalculated the growth stats enormously and time over time they have been miscalculating this number. it makes me wonder if the fed is having any real effect on growth? what do you think? >> i think they're having an effect on financial markets but as far as translating into the real economy, i think it is really lacking. statistics out this week, you may have read, where median incomes are back to where, real incomes are back to where they were in 1989, last five years, median income down 5.7% but cost of goods and services up 7%. that to me is not really translating effective policy into the real economy. i think that is proof but the fed must think otherwise.
cheryl: tim, at the same time look at the balance sheet. we'll be at $4 trillion by january of 2014. we'll second-guessing if there is a taper in october and taper in december but that balancing issue will become part of the dynamic and dialogue in next two weeks in washington. >> well, i they it really will pick up when, if and when the inflation talk starts. i mean that is when it becomes a concern. then they're forced to do something about it. right now nobody is complaining. hey the market is up. things are moving along, 2% or sub2% growth. there is no real concern. it should be a concern because this is really an unprecedented experiment. if you told me this five or 10 years ago i would have thought we had inflation that would be out of control. nevertheless it is a concern but maybe for a later day i think. david: by the way the market did trade down at the end of the day. it is settling 184, the dow jones industrial average to the downside. that is the day's intraday low, i believe, 184.
that is the nasdaq. let's get the dow up there if we can. ed go to your specific picks in lied light of what happened this week. hard to get a real clear idea where the market is going but you think visa, and be aerospace are good no matter what happens with these markets. why? i talked about last time i wasme on the show back in august, that is a whole theme moving over toward digital e-commerce and the fact that consumers will continue to use their plastic as opposed to cash and check and those themes and trends will stay intact for quite some time. be arrows space is another name for us on the industrial side. then we'll l wee playing a product cycle. the faa recently mandated that narrow body and some wide body as well must have oxygen delivery systems in the lava tories. we know in the main cabin when the air pressure loses air
pressure the delivery systems come down to give passengers oxygen. we don't have the that in the restrooms. if. aa mandated this. all new production airplanes will have and bea airspace will be beneficiary. david: who would guess airplane bathrooms will play an important part in my investment decision. cheryl: david, the fact that you have got incredible demand throughout the world for aircraft. over the next really five years, look at advanced orders it will be incredible. another one of your picks, cbs. it is a consumer play. they had had a long drawn out battle with time warner. is this a football story or is there something you like about the company now? >> it is more than a football story. that helps with ratings and what is going on with advertising of late but this is a company that has a series of catalysts. they're going to be spinning out their outdoor business, probably in the form of an ipo in the
spring of next year and all the proceeds will be used to buy back their stock. they're doing a great job of monetizing all their content. they recently inked some deals with amazon for streaming. and you know in the meantime you've got a company, number one network, you know, with about 20 shows coming back, five of them are new and it is doing a really good job of delivering that content to its viewers. david: hey, ed, have a fabulous weekend from chase investment council. >> thank you. david: tim mulholland, you will be very lucky because you will be standing by sandy smith. i think she is there. cheryl: it is nice to be standing there. david: great to be standing next to you as well. we'll see tim as the s&p futures close in a couple minutes. ben bernanke seems to have a communications problem but does he realize it? we'll be asking steve forbes, forbes media chairman and editor-in-chief whether the fed has a serious credibility problem after its taper
surprise. cheryl: call him the "blade runner." the ceo of a razor blared startup going to beat gillette and schick with a unique marketing cam in. >> it has to do with the bathroom. we have a theme going this hour. as ipo fever sweeps ahead of wall street ahead of twitter's big offering. we want to know what future ipo you must be excited about. facebook.com/afterthebell. is it twitter that does it for you? what do you think? tweet us. ♪ [ indistinct shouting ]
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whether you're the first or the millionth. if your bank doesn't think you're special anymore, you need an ally. ally bank. your money needs an ally. david: shares of blackberry sinking in the last hour of trading after the company warned it will report nearly a one billion dollar loss in the second quarter. let's go to nicole petallides on the floor of the new york stock exchange. it is down. closed trading. it has been a tough day for blackberry. >> this happened into the three p.m. hour. it was unexpected. we know blackberry is been struggling. that the z 10 didn't meet expectations of anybody on wall street. that is why they will take this nearly one billion dollar charge. in addition they will cut 40% of the workforce which is 4500 jobs that leaves them with 7,000
globally. the stock dropped down over 17%. the z10 is latest model they're talking about. they're taking charges. they released the 30 this week. we'll find out how that went. obviously they're trying to streamline, going down from six products to four products and focusing on enterprise. they don't have debt on the balance sheet. they have 2.6 billion in cash which makes them a leaner company primed for takeover. we'll watch the story. david: i'm looking at mine. i don't have z or x. probably 10-year-old curve. >> you just have old. cheryl: the company issued blackberry, dave? david: company issued blackberry. that is why it is so old. we know how to save money here at fox business. thank you, nicole. appreciate it. cheryl: folks, i had to, sorry. both oil and gold are falling today after seeing big gains yesterday but gold still managed to squeeze out gains for the week. let's ask go back to tim mulholland and our own sandra
smith on the floor of the cme. i want to start with you, sandy and the metals. what a week for precious metals. if you made the bets before the fed announcement on tuesday, you would have incredible three days of returns, 2 1/2 days of returns let's say. >> cheryl, we went from risk on following the fed meeting to risk-off inding the week. going a long way to prove what many traders were saying post fed announcement. how long will this last? we'll have to pay for this somehow. that is the sentiment that followed big knee-jerk reaction in bond market and upside in the bond market. prices skyrocketed higher. gold and siller indepented both today. biggest rallies over past three months. oil prices by the way dropped to a one-month low. risk-off was the trade today. david: by the way, sandy saw that coming when gold was spiking, she said be careful. a lot of people see it coming back down again. tim, let me go to you to talk
about oil quickly. how much longer than it last if demand is drying up? >> that's a story and it's a supply situation too. i think you see some of that especially with the concern over syria. you saw some of the nearby supply concerns. again, when the fed continues to do what they're doing they will continue greasing the wheels for commodity prices such as oil. so, you know, aside from supply, that is a concern. david: tim, i have to ask behind you, as you were trying to speak of course the bells were going off but there seemed to be a little more wild than usual. quadruple-witching hour. we have the market going down toward the end of the day. people are closing out positions pretty quick before the weekend begins, right? >> yeah. this one was really the, sent futures went off this morning, last night and this morning. cbo across the street has stock option expiration. if you look at down day i think we barely eked out all time closing high for s&p. it was a great week for equities
all things considered. cheryl: tim you're telling clients about emerging markets that will benefit from the fed. we'll bring you back. >> thanks very much, sandy. thank you, tim. st. louis fed president james bullard gave a speech today after the fed decide the not to taper its bond buying program early in the week. why did bull guard favor doing nothing and the question on the table is what happens in october? cheryl: peter barnes sat down with mr. bullard today here in new york. he joins us in the ceo. great interview, peter. >> thank you. want to get to the issue of fed credibility which you will talk about with steve forbes. david: i want to talk about the other credibility. >> let's get through the policy question. this has become a big issue because we heard over and over and over again from fed members, hey, we'll maybe probably taper in september. didn't happen and lots of analysts and economists are questioning the fed's
credibility. i asked jim bullard about that. here is what he said. >> i don't think so. we said this was a data dependent decision. turned out to be a data dependent decision. i think there was some residual notion there was some kind of automatic tracking down of qe that was going to occur over the next year or nine months. that turned out to be a falls idea. >> okay, so now where do we go from here? we have two more meetings of the fed this year, october and december much and he said, well, yes, we could decide to taper our bond-buying in october, if the data, starts coming in stronger, better job creation, better gdp numbers, things like that. he is really worried about the low inflation that we've got. the fed has a 2% target. we're running 1%. he said he is more likely to weigh that more, the low inflation as a factor than he is is on the jobs numbers. and as a result, if that is the case in october and december he
will not vote to taper. david: a lot of people by the way are worried about the inflation. i got to say, are you surprised, i've been telling him for a while it will not be larry summers, that yellen is more according to the needs and purposes of president obama, were you really shocked at larry summers is not the guy? do you think he would have been picked had he not pulled himself out? >> i know he was president's choice. david: really? i just don't buy that. >> they are really close. no, they are. the president made it pretty clear what he wanted from any fed appointee in his last press conference. david: he never makes anything clear. >> he wants the focus on jobs. if larry had gotten the nod, he would have followed -- cheryl: taper. >> david: who wins the bet. >> the wonderful thing was we were both right. david: oh. >> we'll split the dinner. cheryl: no one is going to dinner tonight. david: we'll go to applebee's.
thank you very much. great to see you, peter. more on the federal reserve trillion dollar taper question coming up. steve forbes, forbes media and editor-in-chief will tell us whether they can shake off the fed's easy money. cheryl: applebee's? david: i like applebee's. cheryl: two stocks skyrocketed on first day of trading. what does that tell us about twitter's upcoming ipo. renaissance capital chairman is here next. ♪
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d." "the wall street journal" says it will expand the conference franchise to include international technology sections. target is planning to hire 70,000 seasonal workers for the holiday shopping season. that will be 20% less than a year ago. it is hiring fewer workers to give permanent employees first dibs to work extra hours. tracking site, pinter rest launched an advertising business. they look for having 46 million users to place content integrated with users pin boards recalling 5 series cars. the recall affects cars from 2008 and 2010 model years. mcdonald's testing chicken and waffles, a report says that the fast-food giant is serving combo meal at one california location for 3.99. [buzzer] that is cheap. that is today's "speed read." cheryl: so close.
so far this year the number of ipos is outpacing last year's figure by a staggering 48%. this week alone we saw nine companies going public with 12 more expected next week. david: going public and sometimes 100% of their initial filing. with several high-profile ipos expected at end of the year likes twitter, hilton and empire state building what schuss investors expect from the iipo market next. joining us is renaissance chair's kathy. >> it wasn't long ago i heard people say the ipo market is dead. it is alive and actually creating some amazing returns for investors. david: did you expect these valuations? >> we're getting to some frothy levels. this is incredible week, with fireeye, rocket fuel, and all technology oriented companies trade up 100%. cheryl: fireeye, a cyber
security firm. they priced above the initial offering. offered at 20 bucks and closed at 36. really blew out there. >> exactly. cheryl: overall, 40% of the ipos have actually priced below. not every ipo has been a home run this year. >> the nice part about that you need some pricing discipline in the ipo market to have ipos work. after facebook ipo in 2012 so many deals were discounted and set the stage for nice returns in 2013 for ipo investors. average ipo this year is up 38%. we run ipo strategies and they're up some 40% this year, our global ipo fund for example, twice that of the major benchmark. that set the stage. we need to continue to see some discipline on the part of investors to have this work and also, strong trading and post those 100% first day pops. doesn't mean anything if the stock goes public with that big pop and can not hold that kind of a gain. david: tempted to make a leap
here. you may not like it. i will make it anyway. we need pricing discipline in the economy, to make the markets work as well. right now, we have a federal reserve board that doesn't seem to have any pricing discipline in terms of the dollar. value of the dollar. how many dollars they print, et cetera. does that affect the ipo market? i think it would affect it in a good way because the more dollars coming through the market the more you can spend on ipos. am i right or am i wrong? >> what the fed is doing helping the overall equity markets and ipos are a derive of those equity markets. we would argue you there the financial crisis an this fed printing money has basically caused the bond market, these changes in the bond market to have the effect of many investors owning bonds on the way down. and really a complete absence of ownership of u.s. equities until investors feel confident enough to come back into the equity markets. we're seeing this big shift happening. there is a lot of distortions. it is unfortunate to see money printing may be pumping up
equity returns. cheryl: there is so much buzz about twitter. valuation of twitter is nine billion right now but facebook's valuation was 100 billion. is it fair to say that twitter might be a little less spectacular of an ipo from a financial perspective than maybe facebook was at the end of the day? >> well certainly, we certainly think there will be as much interest in the twitter ipo however the twitter ipo will not be as large as facebook which did cause problems with the exchanges opening it. also i think there are lessons learned in the manner which facebook came out that twitter will do possibly differently. but we do believe there will be a lot of interest. won't be the size but we do believe there i will be interest. it's a unique company, once we open up the perspective does we're waiting to get. we like to see numbers and returns. cheryl: empire state realty. that is reit. there is big fight on the empire state building ownership. are you curious about that one? >> issue there, it will be the
largest u.s. reit done however the concern we have that investors have moved beyond yield vehicles and are looking for growth companies. so empire state realty will have to show a portfolio that has upcoming growth and typically reits are showing yield and not growth. the ipo investors right now are looking for growth companies, health care, technology. those are deals that are working. david: wanted to talk about chrysler. we'll have to have you back to talk about chrysler. this is woman in her element given this ipo market right now. congratulations. thank you very much. >> thank you. david: ben bernanke likes to pride himself on the fed's tran parensy but has the fed's taper message been kind of lost in translation? up next, steve forbes, forbes media chairman and editor-in-chief will sound off on that. cheryl: and when it comes to getting a close shave one startup thinks it can make the cut financially that is with the help of a very unique advertising campaign. david: that is a good word. that's a good word.
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bonds. this followed of course market rallies on monday and wednesday based on dovish indications from the fed on those days. what does it all say about our markets that their success now seems so tied into whether the fed keeps printing a billions of dollar as year? we have steve forbes, forbes media chairman and editor-in-chief. is this healthy. >> no. who is head of the fed should be a non-event, like who is the head of weather bureau if they're doing a job right on stable money. david: let me push back on one point, i know you're not, look what happened in the 1970s, jimmy carter appointed paul volcker. he stood up against the stock markets who didn't want him to raise interest rates to squeeze out inflation. sometime there is seminal person in that character, in that position of character who has to do something tough to particularly stand up to the markets. >> yes. that gets to the whole thing when the fed didn't know what it
was doing. in 1970s it was printing a lot of money. it had a crisis. if the fed was doing the job right, it would be a non-event. the fed is like a bull loose in proverbial china shop, wrecking things here and there. give as falls boom in housing, falls boom in commodities, falls boom in bonds, falls boom in farmland, very destruck tiff. that is why we're not getting. job creation, so far we haven't seen a direct sort of indication how that destruction is taking place. that is to say the housing market generally has been coming up, actually boomed in the spring, but it has been slowing down a little bit, but still coming up. we haven't seen a lot of direct inflation, unless you start putting oil and gas and food prices in there. >> well, oil and food, minor things. we'll overlook that. but the federal reserve had been doing its job right, we never would have had the housing bubble. we never seen oil go from 21 to
25, to $100 a barrel. in the '70s when it went off the rail went to $30 a barrel. in other words it goes for nonproductive investments instead of things for the future. in terms of housing in a normal economy we would be doing 1 1/2 million starts a year. replace old out of date stock and for increase in population. now we're happy, gee, 8 or 900,000, wow. david: as good as the housing market has been it is compared to nothing what it should be? >> absolutely right in new housing starts. gee, maybe the fourth quarter we'll go from 2% to 3%. that is like a baseball player going to .250. david: but the argument of the fed, we heard bullard talking to our own peter barnes about this, there is no inflation. in fact as long as banks keep holding money. it is not being circulated. we know that is true. probably part of the blame mr. is dodd-frank. but in fact the money has not been circulating as much to create the inflation that a lot people like you worry about. >> but it distorted the credit
markets. the government has deficit without tears. big companies get credit cheap. smaller companies only now are beginning to get a line of credit again. that is one reason why the fourth quarter will be a little better. but for four years the fed mucked up credit markets like price controls and rent controls on housing you reduce the supply. availability of credit for smaller entities has not been a good time. david: well, if the stock market though clearly is happy. it has been a great time for stock-pickers. they're very happy. what happens if the fed does begin to taper? are we going to see a crash in the market? >> short term, some day traders may have to cover their hedging and their bets but that means ultimately money will go for productive investment again. remember in real terms, david the stock market today is no higher than it was in the late 1990s. just remember the 1960s. we had enormous ups and downs of stock market yet at end of 16 year period inflation, market
was far up when we began it with great rallies in between. david: market was down 180 points. how much was due to the fed talk and hough due to quadruple witching? >> i think uncertainty about the fed. the fed not be a thing about uncertainty. stable dollar should be stable but something the central bank hasn't practiced for decades. david: steve forbes, with the "forbes on fox" on fox news channel, every saturday morning at 11:00 a.m. god we're patting each other on the back here. >> no one else will do it. david: cheryl is getting too much. back over to you. cheryl: you are the host, that's true. coming up, everybody, tired of buying expensive razors every month and forgetting to replace them until too late? we'll speak to the ceo and founder of the dollar shave club. it's a startup everyone is talking about. he has another bathroom product. mens wipes. are you confused? take a listen. >> fortunately there's a better way to wipe your messy bottom.
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david: sensitive subject but one has to do with a lot of money. time to take a look at a new business concept, the dollar shave club. this california based company provides subscribers with monthly razor blades, more to the point, moistened wipes. there are other words. best known for the original commercial that went viral, take a look. >> are the blades any good? >> no. our blades are [bleep]ing great. cheryl: can a start up compete with raise juror giants like proctor & gamble gillette? we have michael dubin, dollar shave club founder and ceo. michael, these commercials went viral on internet. first one came out last year. you have comedic experience.
you did stand-up. what is this doing for the brand? why take the chance and put basically curse words into your commercials? >> yeah, i mean i think what it's all about is being really honest with guys and, guys appreciate humor and they want things simple and you know, we don't take ourselves too seriously. i think that is what people appreciate about us. david: okay. here's the product. they're called one-wipe charlies. hey, i guess we could use them. what you call, butt wipes. people will be offend by that they should be. i was when i first heard. this is something that is really becomeing a strong in demand item. all over europe, by the way this may be something, as uncomfortable it is to talk about that may sweep the nation as a new product item that makes a lot of money. have you kind of cornered the market on these? >> not yet but we hope to. we did a research study and found out 51% of men were using
wipes regularly and 16% of guys are using it, using them exclusively instead of toilet paper. and they just don't wan to talk about it because what is out there on the market right now are made for women and babies. so we wanted to make something that was just for guys and something they could be proud to display on the back of their toilets. cheryl: michael that was my question because the feminine wipes are very common. there are commercials all over the country for feminine wipes but not something for men, men's wipes. >> right. cheryl: are you nervous the big companies will come up with their own version and hurt your business? or do you think the revenues are strong enough for you could you be at that takeover target? >> we don't think much about getting taken over. frankly i'm real excited about the substantial percentage much our over 300,000 members that have taken the wipes and i think that pause we were the company that introduced them to, to the concept, that, they will stick around no matter who does what out there. david: by the way, a question
asked by my producer, mark white, he said, these things are not supposed to be put in the toilet and thrown away. they can jam up a toilet and dealt with the issue? >> actually ours are flushable and biodegradable. term flushable is industry standard term. so, you don't have to worry about clogging up your septic system. plus you should only need one wipe when you're using these products so. cheryl: we should say that your commercials, you have the stand-up background they're hysterical. they went viral on the internet. >> yeah. cheryl: did you correlate the videos going viral on the web with sales? do the two go together? >> absolutely. i mean we see these videos that we do as brand initiatives and they help drive organic acquisition above average and help keep our paid efforts below. these things are absolutely trackable and we're going to keep doing it again and again as we look to take over the bathroom and be easiest place for guys to get things they use every day. david: there is no way you can deal with this without being
comedic. you have to throw comedy in here. bob parsons from go daddy, another one, big believer using media, comedy as way to sell his product. very successful. as you begin to rise up, of course people will look to chop your head off, particularly bigger companies. i'm thinking p&g, johnson & johnson. these guys, probably will have you in their sights pretty soon. how are you going to deal with them? >> you know that's, that's a math problem i can't solve right now. all i can do is build the best brand for guys and really help them solve their daily grooming habits. i suppose one day we'll have to encounter those guys either as friends or foes. we'll take it as it comes. cheryl: michael, before we let you go, i got to ask you, you got some nfl stars to endorse your products. these are the manliest men in the country, football players and they're endorsing men's wipes. how did you convince these guys to work with you? >> honestly, it wasn't hard.
like i said our brand is really fund and it is approachable and, these guys were totally game for it. we just picked up the phone, called a couple of these centers. everybody has their eyes on these guys butts all season long so they were easy to go after for a men's butt wipe. so, we have sense of humor. they have a sense of humor t really wasn't a hard sell. david: oh, man. by the way. cheryl: you're hysterical. david: this was a hard sell for us, for me in particular. i didn't, i didn't know exactly -- >> you got to do it. you got to do it. david: everybody does it. >> cleaner way, cleaner way to wipe your butt. cleaner way to wipe your butt. it facester. david: all right. cheryl: michael du by. n. david: have to see the viral ads. dollar shave club. you're the ceo and charting new territory. thank you very much for being here. we appreciate it. >> thanks very much for having me. cheryl: full disclosure, i sent the videos to my entire family. david: good for you.
cheryl: kim kardashian is perhaps the best known face of reality tv phenomenon. there is another member of the kardashian clan who is playing down his connections in his business. we have the story coming up. david: talk about monster trucks, looks like it came straight out out of the set fore war of the world es movies. you always wanted one of these. tell you how to get one coming up. my customers can shop around--
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cheryl: many are familiar with the kardashian family, whether from their long running reality tv show, clothing line, endorsement deals, tabloid news. with that kind of name recognition some would say you could sell pretty much everything. what if you separate yourself from the brand and launch your own company? that is what rob cardiovascular is doing with the -- kardashian. david: we'll get sound from your interview. first, it is all about the brand. i think of louis vuitton and rolex watches and prices you pay for things is not equal to the product. you're paying for a name. this guy decide to go against
that. maybe kardashian doesn't have much after flame value but what is he trying to do with avoiding name? >> insulating himself from the kardashian name where their brand equity will not be as strong four years from now. he is trying to do the long-term play. they are arthur george. they're 30-dollar socks. they are colorful. socks are the rage for all kids. he wants to insulate himself from the risk. cheryl: you asked about issue of longevity. let's play his answer for everyone. >> i don't want it associated with anybody else in my family. i feel it has more longevity in that sense. cheryl: he is not worry about the fact, not just the kardashian name could flame out but his brand could as well? >> no, let's face it, sock line and name are inextricably tied is involved, he is on the show. he is one of the stars of the show. and he has done really well with that. he is appealing to women because that is the big demographic that
supports this and a lot of women buy socks, clothes for the man in their life. and so he has been very effective. he had the number one launch at neiman marcus last year. and he, 10 months ago, that is when the company started, he had 2,000 people show up. and they were all around the, all around the block, with required purchase. he made more than 60 grand that one day showing up for two hours. david: we're looking at very sexy models here. $30 a pair. >> $30 a pair. david: these are not cheap socks. this guy has a lost celebrity friends. that is what the kardashians are all about, but he is not using them. why not? >> he hasn't used them yet. that is something he will probably do down the line. right now what he is trying to do is establish credibility for the brand in the department store kind of scene. and he is doing it. it is expanding the distribution but i think it will be 12 to 18 months before we can really track the success of the brand. they have had early success.
cheryl: you asked him about the kardashian name. let's listen to his answer right here. >> very fortunate, and i understand things don't always last which is why i chose the name arthur george because, kardashian is whatever people want to associate it with. ii could care less. i'm about myself and my brand and building that. >> i think it is really important to note that this kid has really struggled to distance himself from the family because he also wants to be his own person. he has a degree from, in business administration from usc in 2009. he graduated and what he is trying to do now is establish himself as an entrepeneur in line with his father, robert kardashian, sr., who we know from the o.j. trial but had his own businesses. the mother is a brilliant businesswoman. she is the mastermind behind this whole family empire. david: but i look at this gentleman here, with his handkerchief, lee hawkins. get the shot back on lee, director.
come on. you have the smart tie. you got the matching pocket handkerchief. what is to say you couldn't have a better sense of style than he does? bottom line, for all the attempts to get away from kardashian he is playing on name. i think lee hawkins has better style sense. >> i don't think he is denying that. he is saying it is obviously a blessing to have cachet and brand, because 3 million people watch the show consistently. it hasn't been 15 minutes of fame. it has been six years of fame. so, you know, they got into the fashion business before they got into the tv business, to be fair to them. so i don't know. his judgment is pretty -- i like the socks. and you know, i'm a more conservative guy but a lost young people, they want to be loud. david: look at you. cheryl: neiman's as a partner and bloomingdale's as partner. these are not small company names. with very good distribution. >> one of the most successful launches in history of
neiman marcus for this. david: i'm trying to figure out what the handkerchief. >> come see me. i well help with that. david: lee will train me. cheryl: thank you, lee. david: all right. thanks a lot, lee hawkins. good to see you as well. cheryl: you look good, dave. >> always. david: could be the bargain of the year. we'll tell you about a manhattan apartment being sold by someone with one of the most famous names on wall street. who could that be? we'll tell you. hang in there. (vo) you are a business pro.
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david: time to go "off the desk." george soros, well-known financeer but his ex-wife may not be quite as good with numbers especially when it comes to the price of her manhattan apartment is gorgeous. susan weber soros recently relisted the upper westside property after lowering the price for second time. it costs only $39 million. 11, million list than the original list price. >> "off the desk", some people may confuse this video with a seen from war of the worlds. someone was driving this vehicle on a highway in russia. the video was recorded by a passenger in the a car on same highway. it already received, get this, 70,000 views. that is scary, looking for a license plate. keep it rolling. maybe we won't be able to keep going. jeez, i don't see that. i don't see a license. asked you on twitter and
facebook as ipo fever sweeps ahead what are the best offerings you heard of? jim on facebook wrote in to say i don't get excited about ipos. >> he doesn't care. "money" with melissa francis up next. melissa: i'm melissa francis and here's what's "money" tonight. just hours before the deadline, syria delivers partial details about its chemical weapons stockpiles but there's plenty missing. we're going to discuss. plus what is really going on inside of assad's head. a top psychologist joins us with his diagnosis. elon musk is always ahead of the curve but may be miles behind the competition in his newest venture. will it drive unstoppable tesla into a ditch? who made money today. wall street was drenched in red but these guys saw their investment skyrocket by nearly 90%. stay tuned to find out who it is. eastern when they say it is not, it is always about money.